Suppose a Local Hardware Store Has Explicit Costs of $2

question 1

Multiple Choice

Suppose a local hardware store has explicit costs of $2 million per year and implicit costs of $44,000 per year.If the store earned an economic profit of $50,000 last year,this means that the store's accounting profit equaled:

• A)$94,000.
• B)$6,000.
• C)$2.05 million.
• D)$2.044 million.

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